1
00:00:03,000 --> 00:00:06,040
Speaker 1: This is Bloomberg day Break Asia for this Monday, June

2
00:00:06,040 --> 00:00:09,360
Speaker 1: fifth in Hong Kong, Sunday June fourth in New York,

3
00:00:09,440 --> 00:00:12,319
Speaker 1: and coming up today, Saudi Arabia will make an extra

4
00:00:12,440 --> 00:00:15,600
Speaker 1: million barrel of day oil production cuts starting in July.

5
00:00:16,160 --> 00:00:18,560
Speaker 1: Asian stocks may get a boost staff for the mostly

6
00:00:18,680 --> 00:00:22,120
Speaker 1: positive jobs data in the US, and China is said

7
00:00:22,160 --> 00:00:25,120
Speaker 1: to be mulling a new properties support package to boost

8
00:00:25,200 --> 00:00:26,000
Speaker 1: its economy.

9
00:00:26,200 --> 00:00:30,080
Speaker 2: China's defense minister strikes a defined tone in Singapore, India

10
00:00:30,160 --> 00:00:32,960
Speaker 2: reveals what led to the deadly train crash, while the

11
00:00:32,960 --> 00:00:36,479
Speaker 2: Hollywood strike is one step closer to ending. And in sports,

12
00:00:36,479 --> 00:00:39,360
Speaker 2: this PSA identified who will be their next manager. On

13
00:00:39,560 --> 00:00:41,879
Speaker 2: Dan Schwartzman, I'll have news and sports coming up.

14
00:00:44,120 --> 00:00:45,280
Speaker 3: That's all straight.

15
00:00:44,960 --> 00:00:48,199
Speaker 4: Ahead on Bloomberg day Break Asia, the business news you

16
00:00:48,320 --> 00:00:51,160
Speaker 4: need to start your day, and just one fifteen minute

17
00:00:51,200 --> 00:00:56,640
Speaker 4: podcast available on Apple, Spotify, the Bloomberg Business App, and everywhere.

18
00:00:56,120 --> 00:00:57,360
Speaker 3: You get your podcasts.

19
00:01:00,360 --> 00:01:03,560
Speaker 5: Good morning, I'm Richard Salama and I'm Brian Curtiz.

20
00:01:03,600 --> 00:01:05,440
Speaker 1: Here are the stories we're following today.

21
00:01:06,840 --> 00:01:09,080
Speaker 5: Brian said, you're going to be making the extra one

22
00:01:09,360 --> 00:01:12,960
Speaker 5: million barrels a day oil supply cut in July.

23
00:01:13,600 --> 00:01:16,200
Speaker 6: Let's sign out more Bonnie al as it details the

24
00:01:16,280 --> 00:01:18,679
Speaker 6: new supply cut takes production to the lowest level in

25
00:01:18,760 --> 00:01:22,200
Speaker 6: years and a slide in oil prices. Other producers offered

26
00:01:22,240 --> 00:01:25,160
Speaker 6: no additional action to support prices, but most did extend

27
00:01:25,160 --> 00:01:28,640
Speaker 6: their existing cuts into twenty twenty four. That said, Russia

28
00:01:28,640 --> 00:01:31,319
Speaker 6: made no move to cut, and the United Arab Emirates

29
00:01:31,319 --> 00:01:34,280
Speaker 6: actually won a higher quarter for twenty twenty four. The

30
00:01:34,400 --> 00:01:37,120
Speaker 6: Kingdom is doubling down on production cuts after the previous

31
00:01:37,200 --> 00:01:40,280
Speaker 6: rounds of curbs failed to deliver a rally. Open Plus

32
00:01:40,280 --> 00:01:43,160
Speaker 6: announced a surprise cut back in April. The week data

33
00:01:43,200 --> 00:01:46,640
Speaker 6: from China and recession fears outweighed the move. Saudi Arabia

34
00:01:46,720 --> 00:01:49,200
Speaker 6: is now pledging to do whatever it takes to stabilize

35
00:01:49,240 --> 00:01:51,960
Speaker 6: the oil market. In Hong Kong, I'm Bonnie out. Bloomberg

36
00:01:52,000 --> 00:01:52,720
Speaker 6: Daybreak Asia.

37
00:01:53,480 --> 00:01:57,040
Speaker 1: The US labor market sent some conflicting signals in May,

38
00:01:57,200 --> 00:02:01,559
Speaker 1: as payrolls surged along with joblessness US The jobs data

39
00:02:01,600 --> 00:02:05,080
Speaker 1: may also give Fed officials some reasons to pause interest

40
00:02:05,160 --> 00:02:08,640
Speaker 1: rate hikes at this meeting this month. The former Treasury

41
00:02:08,680 --> 00:02:12,200
Speaker 1: Secretary Larry Summers is advocating for a half point rate

42
00:02:12,280 --> 00:02:15,280
Speaker 1: hike in July if the FED opts to hold off

43
00:02:15,280 --> 00:02:19,400
Speaker 1: from tightening credit this month. Here's Summer speaking earlier on Bloomberg.

44
00:02:20,320 --> 00:02:23,960
Speaker 7: I think we are again in a situation where the

45
00:02:24,080 --> 00:02:29,400
Speaker 7: risks of overheating the economy are the primary risks that

46
00:02:29,440 --> 00:02:33,120
Speaker 7: the FED needs to be mindful of.

47
00:02:34,520 --> 00:02:36,960
Speaker 1: So he's calling it a lower risk strategy for the

48
00:02:37,000 --> 00:02:40,320
Speaker 1: FED to actually hike rates again this month. Friday's jobs

49
00:02:40,360 --> 00:02:42,640
Speaker 1: report was one of the last major releases that FED

50
00:02:42,639 --> 00:02:46,280
Speaker 1: policymakers will see before they meet June thirteenth. That morning,

51
00:02:46,320 --> 00:02:49,200
Speaker 1: they'll also get the consumer price index for May.

52
00:02:50,080 --> 00:02:50,400
Speaker 4: Well.

53
00:02:50,520 --> 00:02:53,080
Speaker 5: Indeed, that's a gat bit more on what's been happening

54
00:02:53,120 --> 00:02:57,240
Speaker 5: elsewhere in terms of Bloomberg and having a look at

55
00:02:57,280 --> 00:03:01,119
Speaker 5: Bloomberg Invests. The conference in New York kicking off this week,

56
00:03:01,160 --> 00:03:04,760
Speaker 5: focusing on the investment landscape and global economic outlook Hey

57
00:03:04,800 --> 00:03:06,440
Speaker 5: previ from Bloomberg's Charlie Pellett.

58
00:03:06,960 --> 00:03:11,480
Speaker 3: It runs Tuesday through Thursday. Speakers will include Ray Dalio

59
00:03:11,639 --> 00:03:15,800
Speaker 3: of Bridgewater and Sherry Paul of Morgan Stanley Private wealth management.

60
00:03:16,160 --> 00:03:20,360
Speaker 3: Items up for discussion will include opportunities and risks across

61
00:03:20,400 --> 00:03:24,040
Speaker 3: asset classes and the outlook from top hedge fund managers.

62
00:03:24,280 --> 00:03:29,160
Speaker 3: And pension chief investment officers. Bloomberg Radio will broadcast live

63
00:03:29,240 --> 00:03:33,000
Speaker 3: from the event. Listen in starting at nine am Wednesday

64
00:03:33,040 --> 00:03:39,000
Speaker 3: morning in New York. Charlie Pellett Bloomberg Daybreak Asia Well.

65
00:03:39,040 --> 00:03:43,600
Speaker 1: Apple will kick off its annual Worldwide Developers Conference on Monday.

66
00:03:43,800 --> 00:03:46,000
Speaker 1: Bloomberg's and Kates has that story.

67
00:03:46,360 --> 00:03:49,120
Speaker 8: The event will include Apple's most significant device launch in

68
00:03:49,160 --> 00:03:52,200
Speaker 8: nearly a decade, at his first major new product category

69
00:03:52,280 --> 00:03:55,440
Speaker 8: since the Apple Watch. Apple will introduce its mixed reality

70
00:03:55,480 --> 00:03:58,240
Speaker 8: headset with a projected price tag of three thousand dollars,

71
00:03:58,480 --> 00:04:01,440
Speaker 8: along with a new operating system for it. Also likely

72
00:04:01,480 --> 00:04:04,520
Speaker 8: to debut will be Newmac laptops and desktops, and software

73
00:04:04,560 --> 00:04:07,760
Speaker 8: updates for the Watch, iPad and other devices. Apple will

74
00:04:07,760 --> 00:04:11,000
Speaker 8: also highlight improvements to its fitness, health and finance apps.

75
00:04:11,200 --> 00:04:14,640
Speaker 8: In Washington and Kates Bloomberg day Break Asia Well.

76
00:04:14,720 --> 00:04:17,560
Speaker 5: Chinese property developers may see more gains in their stock

77
00:04:17,600 --> 00:04:21,880
Speaker 5: prices today. Why well, let's put that to Bloomberg. Joina Wong, who.

78
00:04:21,839 --> 00:04:25,840
Speaker 9: Has more property stocks already, jumped six percent Friday after

79
00:04:25,839 --> 00:04:28,960
Speaker 9: Bloomberg reported the government was considering a basket of measures

80
00:04:28,960 --> 00:04:32,120
Speaker 9: of support. The gain was the most since December. The

81
00:04:32,200 --> 00:04:35,120
Speaker 9: new measures may include lower down payments for some buyers

82
00:04:35,120 --> 00:04:38,800
Speaker 9: in major cities, sources said. Other measures being considered include

83
00:04:38,960 --> 00:04:43,680
Speaker 9: lowering Asian commissions and further relaxing restrictions for residential purchases.

84
00:04:43,839 --> 00:04:46,440
Speaker 9: The government may also refine some policies laid out in

85
00:04:46,480 --> 00:04:49,560
Speaker 9: a sixteen point rescue package rolled out last year in

86
00:04:49,640 --> 00:04:51,680
Speaker 9: Hong Kong. I'm joined one Bloomberg Day Breagaisia.

87
00:04:52,440 --> 00:04:54,480
Speaker 1: We'll be spending a lot of time looking at markets

88
00:04:54,520 --> 00:04:58,280
Speaker 1: today given that rush of news from Friday, and so

89
00:04:58,360 --> 00:05:01,960
Speaker 1: we'll be seeing some game means, likely in Asian equity prices.

90
00:05:01,960 --> 00:05:04,200
Speaker 1: But we already had a huge jump on Friday in

91
00:05:04,200 --> 00:05:07,119
Speaker 1: the Hangsting Index, up more than four percent seven hundred

92
00:05:07,160 --> 00:05:10,240
Speaker 1: and thirty three points, and part of that was attributed

93
00:05:10,279 --> 00:05:14,680
Speaker 1: to a slightly better tone to US China relations. So

94
00:05:14,960 --> 00:05:17,160
Speaker 1: we'll get a little bit more of an update on that,

95
00:05:17,360 --> 00:05:20,000
Speaker 1: and again we'll see if dollar strength holds in that

96
00:05:20,080 --> 00:05:22,520
Speaker 1: might not be such good news for risk assets here

97
00:05:22,680 --> 00:05:25,479
Speaker 1: in Asia. We'll be looking at markets coming up shortly,

98
00:05:25,520 --> 00:05:28,440
Speaker 1: and we will also be chatting with our guest, Sylvia

99
00:05:28,480 --> 00:05:32,279
Speaker 1: Jablonski joins his co founder and CEO and CIO at

100
00:05:32,279 --> 00:05:39,400
Speaker 1: defiance ETFs. But now it's time for world news. Let's

101
00:05:39,400 --> 00:05:42,320
Speaker 1: get right to Dan Schwartzman in the Bloomberg newsroom looking

102
00:05:42,360 --> 00:05:43,799
Speaker 1: at all the top stories.

103
00:05:44,720 --> 00:05:47,960
Speaker 2: Yeah, Brian President Biden officially signing the debt ceiling legislation

104
00:05:48,040 --> 00:05:51,159
Speaker 2: without a ceremony in the Oval Office that averting a

105
00:05:51,240 --> 00:05:54,520
Speaker 2: potential debt default, which could have plunged a country into recession.

106
00:05:54,839 --> 00:05:57,960
Speaker 2: The deal limits federal spending for two years and suspends

107
00:05:57,960 --> 00:06:01,279
Speaker 2: a debt ceiling till after the twenty four election. The

108
00:06:01,320 --> 00:06:04,799
Speaker 2: bipartisan plan was hammered out in negotiations last weekend between

109
00:06:04,960 --> 00:06:08,440
Speaker 2: the President and House Speaker Kevin McCarthy. Democratic Congress Froman

110
00:06:08,600 --> 00:06:11,800
Speaker 2: Mikey Cheryl of New Jersey says that a bipartisan approaches

111
00:06:11,839 --> 00:06:12,640
Speaker 2: what people want.

112
00:06:12,960 --> 00:06:15,840
Speaker 10: We've come out of some of the most partisan times

113
00:06:15,880 --> 00:06:20,000
Speaker 10: in our nation's history, and the majority of the country

114
00:06:20,080 --> 00:06:22,720
Speaker 10: I think sens is that that is not how to

115
00:06:22,920 --> 00:06:24,000
Speaker 10: get things accomplished.

116
00:06:24,080 --> 00:06:25,719
Speaker 11: That's not how Congress should work.

117
00:06:26,320 --> 00:06:30,240
Speaker 2: Congresswoman Cheryl was speaking to ABC. China's Defense Minister Lee

118
00:06:30,279 --> 00:06:33,200
Speaker 2: Shangfu struck a defiant tone while speaking at the Shangri

119
00:06:33,320 --> 00:06:37,320
Speaker 2: La Dialogue in Singapore, blaming Washington of stroking confrontation through

120
00:06:37,360 --> 00:06:40,640
Speaker 2: to support of Taiwan while building military alliances in the region.

121
00:06:41,000 --> 00:06:43,480
Speaker 2: Lee's speech comes on the heels of a dangerous situation

122
00:06:43,560 --> 00:06:46,200
Speaker 2: in the Taiwan Straits when a Chinese worship came with

123
00:06:46,240 --> 00:06:48,800
Speaker 2: and a reported one hundred and fifty yards of colliding

124
00:06:48,800 --> 00:06:51,680
Speaker 2: with the US destroyer. Lee also mentioned once again that

125
00:06:51,680 --> 00:06:54,400
Speaker 2: Taiwan is part of China and that the country's military

126
00:06:54,440 --> 00:06:56,599
Speaker 2: would not tolerate any incidents that would lead to a

127
00:06:56,600 --> 00:06:59,599
Speaker 2: divided country. Lee though did strike a softer tone at

128
00:06:59,640 --> 00:07:02,000
Speaker 2: the end of the speech, saying that quote, the world

129
00:07:02,040 --> 00:07:04,520
Speaker 2: is big enough for countries, including China in the US

130
00:07:04,640 --> 00:07:07,600
Speaker 2: to grow together. In an interview this weekend from Singapore

131
00:07:07,640 --> 00:07:11,720
Speaker 2: with Bloomberg Television, Australia's Defense Minister Richard Marles says it's

132
00:07:11,760 --> 00:07:13,880
Speaker 2: possible to be an ally with the US while also

133
00:07:13,920 --> 00:07:17,560
Speaker 2: having productive relationships with China. Marls, though did express concern

134
00:07:17,600 --> 00:07:20,400
Speaker 2: with China's military built up in the region, especially without

135
00:07:20,440 --> 00:07:23,640
Speaker 2: any reassurances as to the purpose of it. Australia finds

136
00:07:23,680 --> 00:07:26,520
Speaker 2: itself in a situation many nations do, which is to

137
00:07:26,520 --> 00:07:29,480
Speaker 2: have a military alliance with the US while maintaining ties

138
00:07:29,520 --> 00:07:34,000
Speaker 2: with China's economic engine India says a faulty electronics signaling

139
00:07:34,040 --> 00:07:36,680
Speaker 2: system was a reason behind the country's deadliest rail attack

140
00:07:37,280 --> 00:07:40,040
Speaker 2: accident excuse me in almost three decades. The number of

141
00:07:40,040 --> 00:07:41,960
Speaker 2: dead stands at two hundred and eighty eight. With crews

142
00:07:41,960 --> 00:07:44,920
Speaker 2: clearing the mangled direc off the tracks, an express passenger

143
00:07:44,920 --> 00:07:47,720
Speaker 2: train collided with a stationary freight train, with both then

144
00:07:47,760 --> 00:07:50,560
Speaker 2: being hit by another express passenger train which was traveling

145
00:07:50,720 --> 00:07:54,040
Speaker 2: from the opposite direction. India's outdated rail system is one

146
00:07:54,040 --> 00:07:56,120
Speaker 2: of the largest in the world to carries hundreds of

147
00:07:56,120 --> 00:07:59,080
Speaker 2: millions of people each month. Thai Airways is preparing to

148
00:07:59,080 --> 00:08:02,560
Speaker 2: begin talks with aircraft manufacturers to purchase thirty new wide

149
00:08:02,560 --> 00:08:05,480
Speaker 2: body jets as tourists return to Thailand and the carrier

150
00:08:05,520 --> 00:08:08,640
Speaker 2: looks to rebound from the pandemic. The airline CEO says

151
00:08:08,640 --> 00:08:10,720
Speaker 2: it will formally send out a so called request for

152
00:08:10,760 --> 00:08:14,080
Speaker 2: proposal to both Boeing and rival Airbus for aircraft that

153
00:08:14,160 --> 00:08:17,720
Speaker 2: expects to receive Starting in twenty twenty six, Global News

154
00:08:17,720 --> 00:08:19,480
Speaker 2: twenty four hours a day, power by more than twenty

155
00:08:19,520 --> 00:08:21,760
Speaker 2: seven hundred journalists and analysts in over one hundred and

156
00:08:21,760 --> 00:08:24,880
Speaker 2: twenty countries. I'm Dan Schwartzman, and this is Bloomberg.

157
00:08:25,400 --> 00:08:28,760
Speaker 1: I'm Brian Curtis along with Rishad Salamat, and our guest

158
00:08:28,840 --> 00:08:33,760
Speaker 1: is Sylvia Jablonski, co founder, CEO and CIO at Defiance ETFs.

159
00:08:34,400 --> 00:08:39,479
Speaker 1: So we had a big change in markets on Friday, Sylvia, Materials, industrials,

160
00:08:39,640 --> 00:08:42,720
Speaker 1: energy all very well bid, and that's something we haven't

161
00:08:42,760 --> 00:08:45,320
Speaker 1: really seen this year. It's been all about tech. So

162
00:08:45,360 --> 00:08:47,960
Speaker 1: I'm wondering whether or not you see that as a

163
00:08:48,240 --> 00:08:52,280
Speaker 1: new trend, something that could have some staying power. Is

164
00:08:52,320 --> 00:08:56,400
Speaker 1: it instead just mean reversion? And also, you know, our

165
00:08:56,480 --> 00:08:59,760
Speaker 1: people thinking that recession is less likely now could be avoided,

166
00:08:59,760 --> 00:09:02,360
Speaker 1: So why not go with some of the equal weight

167
00:09:02,400 --> 00:09:04,040
Speaker 1: stocks that have performed so badly.

168
00:09:05,960 --> 00:09:09,320
Speaker 12: Yeah, good evening. I think that, you know, it's a

169
00:09:09,320 --> 00:09:11,600
Speaker 12: great point. It's super interesting to watch this market. I

170
00:09:11,640 --> 00:09:15,400
Speaker 12: do think that, you know, having a good sort of

171
00:09:15,480 --> 00:09:18,880
Speaker 12: short term bull market, particularly as you mentioned tech and

172
00:09:19,280 --> 00:09:22,920
Speaker 12: spots like semiconductors, has led some investors to perhaps take

173
00:09:22,920 --> 00:09:24,480
Speaker 12: a little bit of money off the table or just

174
00:09:24,520 --> 00:09:27,040
Speaker 12: to take a pause, thinking that, you know, perhaps there

175
00:09:27,080 --> 00:09:29,160
Speaker 12: will be a little bit of mean reversion just because

176
00:09:29,160 --> 00:09:31,839
Speaker 12: we've seen a solid run up. So I don't take

177
00:09:31,840 --> 00:09:34,679
Speaker 12: it as a big sign that something is necessarily changing

178
00:09:34,760 --> 00:09:37,000
Speaker 12: or shifting. And I think actually, if you look at

179
00:09:37,080 --> 00:09:39,320
Speaker 12: some of those sectors and you know, kind of some

180
00:09:39,360 --> 00:09:41,800
Speaker 12: of the more defensive types of plays, you know that

181
00:09:41,840 --> 00:09:44,800
Speaker 12: they are actually overvalued as well, because investors have been

182
00:09:44,800 --> 00:09:46,920
Speaker 12: piling into them for the last year and a half

183
00:09:47,040 --> 00:09:49,960
Speaker 12: or so anyway, expecting this big sort of tank of

184
00:09:49,960 --> 00:09:53,360
Speaker 12: a recession. So, you know, I think in my mind,

185
00:09:53,440 --> 00:09:55,760
Speaker 12: of course we have the FED inflation is a real

186
00:09:56,120 --> 00:09:56,880
Speaker 12: kind of battle.

187
00:09:56,960 --> 00:09:59,440
Speaker 11: But we do see inflation coming down.

188
00:09:59,480 --> 00:10:02,840
Speaker 12: We also see softening in PMI, we see a little

189
00:10:02,880 --> 00:10:06,880
Speaker 12: bit less spending. You know, there's some good indication out

190
00:10:06,920 --> 00:10:09,319
Speaker 12: there that what the FED has done is working, and

191
00:10:09,400 --> 00:10:10,640
Speaker 12: so perhaps they.

192
00:10:10,600 --> 00:10:12,080
Speaker 11: Don't have to do it for as long.

193
00:10:12,280 --> 00:10:12,440
Speaker 4: You know.

194
00:10:13,200 --> 00:10:15,360
Speaker 12: The caveat to that is the job market's a little

195
00:10:15,360 --> 00:10:17,200
Speaker 12: bit too hot, right, But I don't think it's a

196
00:10:17,240 --> 00:10:19,240
Speaker 12: reversal of trends exactly.

197
00:10:19,320 --> 00:10:21,840
Speaker 5: So just adding to that point, and you know, you

198
00:10:21,840 --> 00:10:23,840
Speaker 5: look at all the details and then suddenly you get

199
00:10:24,679 --> 00:10:27,040
Speaker 5: a swipe from left field in the form of those

200
00:10:27,240 --> 00:10:28,160
Speaker 5: payrolls numbers.

201
00:10:30,480 --> 00:10:33,679
Speaker 12: Yeah, and that's you know, very very unfriendly to what

202
00:10:33,720 --> 00:10:34,400
Speaker 12: the market is.

203
00:10:34,400 --> 00:10:36,199
Speaker 11: Is kind of hoping for from the FED.

204
00:10:36,320 --> 00:10:39,120
Speaker 12: But you know, I think it'll be really interesting to

205
00:10:39,160 --> 00:10:41,440
Speaker 12: see what happens in June. And I think, you know,

206
00:10:42,160 --> 00:10:45,240
Speaker 12: I had the sort of a strong conviction that that would.

207
00:10:45,040 --> 00:10:45,960
Speaker 11: Really be a pause.

208
00:10:46,040 --> 00:10:48,160
Speaker 12: And at this point, you know, that's that's up in

209
00:10:48,200 --> 00:10:50,840
Speaker 12: the air, right because of some of these recent numbers.

210
00:10:50,880 --> 00:10:53,880
Speaker 12: But you know, I think that there is enough softening

211
00:10:53,920 --> 00:10:56,400
Speaker 12: in other parts of the economy and other parts of

212
00:10:56,440 --> 00:11:00,760
Speaker 12: the market and inflation itself where you know, and we

213
00:11:00,840 --> 00:11:02,360
Speaker 12: do have you know, titan credit and some of the

214
00:11:02,480 --> 00:11:04,439
Speaker 12: quitting on the side because what happened with the you know,

215
00:11:04,520 --> 00:11:04,760
Speaker 12: kind of.

216
00:11:04,760 --> 00:11:05,800
Speaker 11: Pseudo banking crasis.

217
00:11:05,800 --> 00:11:07,480
Speaker 12: So I do think that the FED has a tough

218
00:11:07,520 --> 00:11:10,160
Speaker 12: decision to make in the next month. So but I

219
00:11:10,240 --> 00:11:12,120
Speaker 12: still think that they're kind of closer to the end

220
00:11:12,120 --> 00:11:14,160
Speaker 12: and the beginning of all of this, and so well,

221
00:11:14,200 --> 00:11:16,600
Speaker 12: that's unlikely that there's going to be a massive collapse.

222
00:11:17,160 --> 00:11:19,640
Speaker 1: As surprising as the three hundred and thirty nine thousand

223
00:11:19,679 --> 00:11:23,160
Speaker 1: net new jobs was, the unemployed numbers rising by four

224
00:11:23,240 --> 00:11:25,480
Speaker 1: hundred and forty thousand is.

225
00:11:25,480 --> 00:11:26,360
Speaker 3: Pretty shock game.

226
00:11:26,400 --> 00:11:29,760
Speaker 1: And where do those numbers come from?

227
00:11:30,160 --> 00:11:33,840
Speaker 12: Yeah, I mean there's there's a little bit of you know,

228
00:11:33,880 --> 00:11:37,000
Speaker 12: kind of like uncertainty and lack of clarity in these numbers.

229
00:11:37,000 --> 00:11:39,960
Speaker 12: But I think what's pretty interesting about the job number

230
00:11:39,960 --> 00:11:41,840
Speaker 12: and what's going to kind of factor into the job's number,

231
00:11:41,880 --> 00:11:43,560
Speaker 12: you know, is sort of like one of two things. One,

232
00:11:43,960 --> 00:11:47,240
Speaker 12: a lot of companies have been doing layoffs and it

233
00:11:47,280 --> 00:11:49,640
Speaker 12: takes some time to sort of you know, off off

234
00:11:49,679 --> 00:11:52,040
Speaker 12: load and and you know, kind of settle up on

235
00:11:52,080 --> 00:11:55,240
Speaker 12: some of those employment contracts. And the second thing is

236
00:11:55,280 --> 00:11:57,320
Speaker 12: I think tech and AI have actually played a huge

237
00:11:57,400 --> 00:11:59,560
Speaker 12: role now where you know, a lot of companies have

238
00:11:59,640 --> 00:12:04,400
Speaker 12: utilized technology to replace jobs, you know, for for for

239
00:12:04,800 --> 00:12:06,680
Speaker 12: individuals that they can't find in the market.

240
00:12:06,760 --> 00:12:06,960
Speaker 6: Right.

241
00:12:07,040 --> 00:12:09,160
Speaker 11: So I do think that a lot of there's going

242
00:12:09,200 --> 00:12:10,000
Speaker 11: to be a lot of data.

243
00:12:09,800 --> 00:12:11,520
Speaker 12: In the job market that looks a little bit more

244
00:12:11,600 --> 00:12:13,880
Speaker 12: clear in the next six to twelve months as that

245
00:12:13,920 --> 00:12:15,280
Speaker 12: plays out a little bit longer.

246
00:12:16,120 --> 00:12:17,760
Speaker 5: Sylphe what are you buying then at the moment in

247
00:12:17,880 --> 00:12:20,840
Speaker 5: terms of your ets? And that gives a sense of

248
00:12:21,000 --> 00:12:24,080
Speaker 5: what it's like if you a passive fund manager.

249
00:12:24,120 --> 00:12:29,240
Speaker 12: Now, yeah, I think you know, if you're if you're

250
00:12:29,280 --> 00:12:32,960
Speaker 12: a passive fund manager, I think you know, in a

251
00:12:33,040 --> 00:12:35,240
Speaker 12: sense you can kind of stick with stick with the

252
00:12:35,280 --> 00:12:39,360
Speaker 12: conviction of diversification, have a balanced portfolio Barbell approach, and

253
00:12:39,480 --> 00:12:40,880
Speaker 12: you know, just sort of look back and think that

254
00:12:40,960 --> 00:12:43,360
Speaker 12: last year was great for your dollar cost averaging, right

255
00:12:43,480 --> 00:12:45,839
Speaker 12: because the market had pulled back so much across sort

256
00:12:45,880 --> 00:12:48,000
Speaker 12: of all sectors. And you know, now we're getting back

257
00:12:48,000 --> 00:12:50,440
Speaker 12: in line with that ten to eleven percent annualize expected

258
00:12:50,480 --> 00:12:53,880
Speaker 12: return in terms of you know, from my perspective and

259
00:12:54,160 --> 00:12:58,720
Speaker 12: a little you know, more managers that like allocations to

260
00:12:58,800 --> 00:13:01,160
Speaker 12: tech and innovation and things like this. You know, we're

261
00:13:01,160 --> 00:13:04,880
Speaker 12: seeing huge allocations to everything that has to do with AI,

262
00:13:04,960 --> 00:13:07,640
Speaker 12: as you can imagine. So whether it's you know, the

263
00:13:07,720 --> 00:13:10,640
Speaker 12: machine learning stocks, whether it's the software side of it,

264
00:13:10,679 --> 00:13:13,480
Speaker 12: whether it's you know, data centers, whether it's semiconductors, we

265
00:13:13,520 --> 00:13:17,199
Speaker 12: see huge moves and companies like Microsoft, Google, Navidia, you know,

266
00:13:17,240 --> 00:13:19,319
Speaker 12: everything that plays it to that trend. And really that's

267
00:13:19,320 --> 00:13:21,440
Speaker 12: where we've seen the best run on our side is

268
00:13:21,800 --> 00:13:24,520
Speaker 12: on the kind of quantum basket that we run.

269
00:13:25,200 --> 00:13:27,120
Speaker 1: So there's two other areas we need to get to

270
00:13:27,240 --> 00:13:30,120
Speaker 1: on this Monday morning. One is the China property market,

271
00:13:30,120 --> 00:13:32,040
Speaker 1: but let's save that for a moment. The other one

272
00:13:32,080 --> 00:13:34,360
Speaker 1: is that the US treasure is about ready to just

273
00:13:34,559 --> 00:13:37,920
Speaker 1: unleash an enormous amount of new bonds or number of

274
00:13:37,960 --> 00:13:40,840
Speaker 1: new bonds into the market. What will the consequences of

275
00:13:40,880 --> 00:13:41,160
Speaker 1: that be?

276
00:13:43,040 --> 00:13:45,480
Speaker 12: Yeah, I mean, you know, I think I think what

277
00:13:45,679 --> 00:13:49,480
Speaker 12: is going to be really interesting in terms of not

278
00:13:49,520 --> 00:13:51,360
Speaker 12: only the release of treasuries in the new markets, but

279
00:13:51,559 --> 00:13:54,120
Speaker 12: I just think also upcoming FED policy and I think

280
00:13:54,160 --> 00:13:56,160
Speaker 12: also regulation about the banks and such.

281
00:13:56,480 --> 00:13:57,880
Speaker 11: You know, we sort of have to see how all

282
00:13:57,920 --> 00:13:58,600
Speaker 11: of this lands.

283
00:13:58,600 --> 00:14:01,199
Speaker 12: I think that you know, cit and liquidity are going

284
00:14:01,240 --> 00:14:03,600
Speaker 12: to essentially tighten in the market, and you.

285
00:14:03,559 --> 00:14:04,840
Speaker 11: Already have a lot of investors.

286
00:14:04,840 --> 00:14:06,720
Speaker 12: I've seen a whole bunch of surveys coming out recently

287
00:14:06,720 --> 00:14:08,560
Speaker 12: where the ultra high net worth and the high net

288
00:14:08,600 --> 00:14:11,040
Speaker 12: worth and you know, big allocators are pretty much sitting

289
00:14:11,040 --> 00:14:11,880
Speaker 12: on the sidelines.

290
00:14:11,920 --> 00:14:14,320
Speaker 11: And then you know, you have the FED doing essentially

291
00:14:14,360 --> 00:14:15,040
Speaker 11: what they're doing.

292
00:14:15,080 --> 00:14:16,720
Speaker 12: And I think it's going to take some time to

293
00:14:16,760 --> 00:14:19,320
Speaker 12: play out and see what actually happens in terms of,

294
00:14:19,520 --> 00:14:21,680
Speaker 12: you know, the liquidity in the market and kind of

295
00:14:21,720 --> 00:14:23,120
Speaker 12: credit conditions in the market.

296
00:14:23,800 --> 00:14:26,240
Speaker 5: Who's going to buy the who's going to buy these bones?

297
00:14:26,280 --> 00:14:29,600
Speaker 5: That's the thing. I mean, you'd expect that to be

298
00:14:29,640 --> 00:14:32,240
Speaker 5: a liquidity crunch with the amount of supply coming on.

299
00:14:34,600 --> 00:14:36,640
Speaker 12: Yeah, you would expect it, but I do think that,

300
00:14:37,360 --> 00:14:40,640
Speaker 12: you know, the US is kind of hard to say

301
00:14:40,640 --> 00:14:42,920
Speaker 12: that after this big, you know, sailing debacle, but I

302
00:14:42,920 --> 00:14:45,160
Speaker 12: still think that the US is the place to be,

303
00:14:45,240 --> 00:14:46,640
Speaker 12: and I think you will continue to get a good

304
00:14:46,680 --> 00:14:51,320
Speaker 12: amount of foreign investment and purchasers of of that you

305
00:14:51,360 --> 00:14:51,960
Speaker 12: know abroad.

306
00:14:52,320 --> 00:14:54,760
Speaker 1: Yeah, so, if you want one of our featured stories

307
00:14:54,760 --> 00:14:57,640
Speaker 1: this morning is actually a story that we broke on Friday.

308
00:14:57,680 --> 00:15:01,080
Speaker 1: It really spruced up the property market for China and

309
00:15:01,120 --> 00:15:04,520
Speaker 1: it also kind of you know, helped lead to some

310
00:15:04,520 --> 00:15:08,160
Speaker 1: big rallies right across the board because property has been

311
00:15:08,160 --> 00:15:12,240
Speaker 1: one of the major challenges in the Chinese recovery. We

312
00:15:12,360 --> 00:15:15,800
Speaker 1: still haven't gotten full confirmation of it, but Bloomberg reporting

313
00:15:16,160 --> 00:15:18,760
Speaker 1: that some measures to ease some of these restrictions in

314
00:15:18,840 --> 00:15:19,640
Speaker 1: property are coming.

315
00:15:19,680 --> 00:15:25,000
Speaker 12: Your thoughts, Yeah, I think when it comes to you know,

316
00:15:25,120 --> 00:15:28,800
Speaker 12: in general, when it comes to China's economy, I think

317
00:15:28,840 --> 00:15:32,120
Speaker 12: that you know, Chinese regulators and Chinese officials are probably

318
00:15:32,360 --> 00:15:34,200
Speaker 12: you know, they always kind of come in in the

319
00:15:34,240 --> 00:15:38,160
Speaker 12: final hour and offer support, you know, whether it's to

320
00:15:39,000 --> 00:15:41,480
Speaker 12: as you said, the ailing property market, or whether it's

321
00:15:41,520 --> 00:15:46,600
Speaker 12: to you know, loans and deposit measures and things like this.

322
00:15:46,720 --> 00:15:49,120
Speaker 12: So I think that you know, you've seen in this

323
00:15:49,240 --> 00:15:51,920
Speaker 12: massive slowdown in home sales and there's you know, kind

324
00:15:51,920 --> 00:15:54,120
Speaker 12: of a lot of trouble for struggling developers, and I

325
00:15:54,120 --> 00:15:57,200
Speaker 12: think that, you know, kind of the Chinese government is

326
00:15:57,240 --> 00:15:59,360
Speaker 12: going to come in and essentially support the economy.

327
00:15:59,360 --> 00:16:01,400
Speaker 11: I mean, it's second and largest.

328
00:16:01,040 --> 00:16:04,320
Speaker 12: Economy and globally and you can't essentially have you know,

329
00:16:05,240 --> 00:16:09,320
Speaker 12: potential collapse in the Chinese property market. They've already lost

330
00:16:09,320 --> 00:16:12,000
Speaker 12: a good amount of montal problem as well.

331
00:16:12,040 --> 00:16:14,680
Speaker 5: So I think it's how much exposure do you have

332
00:16:14,720 --> 00:16:15,920
Speaker 5: to China and if they were.

333
00:16:17,520 --> 00:16:19,440
Speaker 12: Yeah, so most of the exposure that we have is

334
00:16:19,880 --> 00:16:24,040
Speaker 12: along the lines of artificial intelligence, machine learning, and tech. Right,

335
00:16:24,080 --> 00:16:26,640
Speaker 12: so we're looking at innovation, We're looking at you know,

336
00:16:26,720 --> 00:16:30,200
Speaker 12: kind of the whether it's the semiconductor companies of graphics companies,

337
00:16:30,240 --> 00:16:32,600
Speaker 12: that gaining companies. We think that there's a long rudway

338
00:16:33,720 --> 00:16:35,240
Speaker 12: in those names essentially.

339
00:16:36,320 --> 00:16:38,680
Speaker 1: One of the other big stories over the weekend obviously

340
00:16:38,880 --> 00:16:42,320
Speaker 1: was Saudi Arabia with its million barrel a day supply cut.

341
00:16:42,960 --> 00:16:46,080
Speaker 1: A little tricky there because Russia refused to do more

342
00:16:46,160 --> 00:16:49,720
Speaker 1: and the United Arab Emirates actually won an increase in

343
00:16:49,760 --> 00:16:53,320
Speaker 1: quota for next year, so Saudi Arabia sort of offset that.

344
00:16:53,960 --> 00:16:56,960
Speaker 1: How do you see oil prices and particularly how important

345
00:16:57,000 --> 00:17:00,280
Speaker 1: are oil prices in getting the global economy going again?

346
00:17:03,360 --> 00:17:07,160
Speaker 12: Yeah, I think, you know, one of the favorable facts,

347
00:17:07,440 --> 00:17:10,359
Speaker 12: particularly in the US economy, has been the reduction in

348
00:17:10,640 --> 00:17:12,159
Speaker 12: the price of oil. And I think that, you know,

349
00:17:12,240 --> 00:17:15,479
Speaker 12: any kind of moves that that, you know, kind of

350
00:17:16,080 --> 00:17:17,879
Speaker 12: challenge the stability.

351
00:17:17,320 --> 00:17:19,360
Speaker 11: And balance of oil markets.

352
00:17:19,560 --> 00:17:22,040
Speaker 12: You know, creating a situation where oil could become more

353
00:17:22,080 --> 00:17:26,040
Speaker 12: expensive is a risk to you know, global infation rising.

354
00:17:26,160 --> 00:17:29,679
Speaker 12: So you know, I think it'll be really important to see,

355
00:17:30,440 --> 00:17:32,720
Speaker 12: you know, where where the price of oil lands and

356
00:17:32,760 --> 00:17:34,800
Speaker 12: sort of the higher gets the gloomy or the overall

357
00:17:34,840 --> 00:17:37,119
Speaker 12: outlook would be for the US and global economies just

358
00:17:37,160 --> 00:17:39,040
Speaker 12: because of the inflation story.

359
00:17:39,560 --> 00:17:41,080
Speaker 5: Well, I have to go up a lot. When did

360
00:17:41,080 --> 00:17:43,720
Speaker 5: I suppose ultimately for that to have a material impact

361
00:17:43,760 --> 00:17:44,920
Speaker 5: only in it would?

362
00:17:45,040 --> 00:17:46,480
Speaker 11: Yeah? It would? It would?

363
00:17:46,560 --> 00:17:46,880
Speaker 7: It would?

364
00:17:46,920 --> 00:17:48,359
Speaker 12: I mean we have to see, you know, kind of

365
00:17:48,359 --> 00:17:50,240
Speaker 12: a huge move back to where we were.

366
00:17:50,960 --> 00:17:52,880
Speaker 1: Well, well, let's be real, I mean, this was really

367
00:17:52,880 --> 00:17:56,560
Speaker 1: about stabilizing prices more than driving prices higher. We did

368
00:17:56,600 --> 00:17:59,720
Speaker 1: see some recovery this morning, is now up three point

369
00:17:59,720 --> 00:18:03,560
Speaker 1: two for both Brent and wt I, but still in

370
00:18:03,640 --> 00:18:05,840
Speaker 1: all I mean, prices had been moving to the downside

371
00:18:05,880 --> 00:18:10,159
Speaker 1: pretty quickly, and so you know, maybe this provides some stability.

372
00:18:11,760 --> 00:18:14,560
Speaker 12: Yeah, I mean, you know, perhaps, but I do think

373
00:18:14,600 --> 00:18:18,320
Speaker 12: that you know, you kind of saw oil prices surge

374
00:18:18,320 --> 00:18:20,800
Speaker 12: after the April cut, right, and they peaked and.

375
00:18:21,320 --> 00:18:24,600
Speaker 11: Have sort of reversed since. But it's it's, you know,

376
00:18:24,840 --> 00:18:27,919
Speaker 11: it's always sort of up to opaccross and you know

377
00:18:28,160 --> 00:18:29,960
Speaker 11: what they do with with with oil.

378
00:18:30,200 --> 00:18:32,520
Speaker 12: And I think that the price of oil going higher,

379
00:18:32,720 --> 00:18:34,440
Speaker 12: you know, although it's stable now, should we get a

380
00:18:34,440 --> 00:18:36,639
Speaker 12: situation where the price of oil begins to peak, It's

381
00:18:36,720 --> 00:18:39,080
Speaker 12: it's a risk I think to to you know, global

382
00:18:39,080 --> 00:18:40,119
Speaker 12: comties be consten patient.

383
00:18:42,760 --> 00:18:45,560
Speaker 1: This is Bloomberg Daybreak Asia, your morning brief on the

384
00:18:45,680 --> 00:18:49,320
Speaker 1: stories making news from Hong Kong to Singapore and Wall Street.

385
00:18:49,560 --> 00:18:53,200
Speaker 5: Look for us on your podcast feed every day on Apples, Spotify,

386
00:18:53,240 --> 00:18:55,160
Speaker 5: and anywhere else you get you a podcast.

387
00:18:55,520 --> 00:18:58,160
Speaker 1: You can also listen live each day on Bloomberg eleven

388
00:18:58,200 --> 00:19:00,600
Speaker 1: three to zero in New York Bloomberg ninety nine to

389
00:19:00,600 --> 00:19:03,800
Speaker 1: one in Washington Bloomberg one oh sixty one in Boston

390
00:19:04,119 --> 00:19:06,600
Speaker 1: and Bloomberg nine sixty in San Francisco.

391
00:19:07,080 --> 00:19:09,800
Speaker 5: Our flagship New York station is available on your Amazon

392
00:19:09,840 --> 00:19:14,800
Speaker 5: Alexa devices. Just say Alexa Play Bloomberg eleven thirty plus.

393
00:19:14,920 --> 00:19:18,320
Speaker 1: Listen coast to coast on the Bloomberg Business app, Sirius

394
00:19:18,480 --> 00:19:22,720
Speaker 1: XM Channel one nineteen, the iHeartRadio app, and on Bloomberg

395
00:19:22,760 --> 00:19:25,960
Speaker 1: dot com. I'm Brian Curtis and I'm Rashad Slam.

396
00:19:26,040 --> 00:19:28,320
Speaker 5: To join us again tomorrow for all the news you

397
00:19:28,440 --> 00:19:31,359
Speaker 5: need to start your day right here on Bloomberg day

398
00:19:31,400 --> 00:19:31,880
Speaker 5: Breakasion